Integrated Electrical Services Inc. (IES), one of the nation's largest electrical contractors, has signed an asset purchase agreement with Encompass Electrical Technologies - Rocky Mountains Inc. and Encompass Services Corp. to acquire the assets of Encompass Electrical Technologies - Rocky Mountains Inc. (formerly known as Riviera Electric).
Encompass Electrical Technologies provides electrical contracting services based in Denver, with locations throughout Colorado. The assets to be acquired by IES generated revenues of approximately $83 million for the year ended Dec. 31, 2002.
The consideration to be paid for the acquisition is $3.85 million cash plus the assumption of certain liabilities.
“This acquisition complements our company's core business of electrical contracting and is in a market in which IES has wanted an increased presence for some time,” said H. Roddy Allen, IES' president and chief executive officer. “Although IES has not actively been in the market for acquisitions, we will always pursue compelling growth opportunities that fit our strategy. We believe these assets will provide increased shareholder value.”